When firms in a perfectly competitive market incur economic losses, exit by some firms means the market supply will
A) increase.
B) decrease.
C) not change.
D) become vertical.
E) become the same as the individual producers' supplies.
B
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In the foreign exchange market, the demand for dollars increases and the demand curve for dollars shifts rightward if the
A) U.S. interest rate differential increases. B) foreign interest rate rises. C) exchange rate falls. D) expected future exchange rate falls. E) U.S. interest rate falls.
Economics is a:
A) social science that deals with making choices among alternatives. B) natural science that concerns itself with allocating relatively scarce resources among alternative ends. C) science that has no theories or models based on the scientific method. D) humanities course that mainly concerns itself with limited wants versus unlimited resources.